Exchange rates essay (1 Viewer)

[Mjontrix]

Hey guys, I was wondering if you guys mentioned fiscal and monetary policy in tackling exchange rates?

 

[Titangod77]

Yea, only monetary though

How it's indirect effect appreciates the dollar...attracts for investment

 

[manscux]

Yea, only monetary though

How it's indirect effect appreciates the dollar...attracts for investment

Hi, not neccessary
you can talk about how fiscal policy can be used to stimulate economic growth encouraging imports which could see a depreciation. You could give an example as in 2007 prior to the GFC, economic growth had seen the dollar fluctuate between 95c, not going higher.

 

[Harber]

yeah, i mentioned m.p and how it appreciates/depreciates with change in cash rate
also, how many trends woudlve been appropriate to mention in this essay? i didnt have any graphs either

 

[Richard Llyod]

I wrote about MP, FP, and micropolicies since they can all affect the exchange rate